OpenStack in the cloud industry today and where it sees itself in the future in

OpenStack currently has a summit ongoing at the moment dubbed the OpenStack Summit, and about 5,000 pf people at the summit believe that the cloud platform is the future in the industry. The security firm, 451 Research who are also at the summit believe that the company might be onto something that will change the industry. The company expects its revenue it gains from the OpenStack business models to rise to over $5 billion by the year 2020, which signifies a growth of 35 percent of compound annual growth rate.

The total revenue that the company is nothing when compared to the big hitters such as the Amazon Web Services, but clearly the growth rate is something to be expected about.

The 451 Research company has seen that the OpenStack based income has been taken from the service providers which offer the multi tenant Infrastructure as a Service. 451 believes that the future of OpenStack is dependent on the private cloud space and in the provision of hybrid cloud orchestration which will be done for the public cloud integration. 451 also sees the private cloud revenue being more than the public cloud by the year 2019.

At the summit, the focus on the private cloud by OpenStack is clearly visible. Leaders in the tech industry such as Banco Santander, which is a Spanish bases international bank, and Sky, one of the best and leading television and internet companies in Europe have both applauded OpenStack’s efforts on the private cloud platform. Both of these companies have been using the distribution based OpenStack approach, which consists of the Red Hat Enterprise Linux for the Santander Bank and the Ubuntu feature for Sky.

451 Research also predicts that the OpenStack business is going to grow in the software defined networking, network function virtualization, mobile and the Internet of Things for both the service providers and the enterprises combined. This is also on top of the existing use cases for the big data and the lines of business. Various representatives from companies such as Nokia, NEC and Huawei all praised OpenStack’s efforts in business and telecom industry.

However, all these praises do not necessarily mean everyone thinks OpenStack will excel in the private and hybrid cloud environments. Deutsche Telekom, the German telecom giant is rather using the services offered by OpenStack as the foundation for their public cloud.

451 Research also notes that not everything is good at OpenStack. Al Sadowski, the research VP at 451 said that OpenStack still had its flaws even though it was quickly becoming a top priority and a credible cloud option.

Many star enterprises such as Wal-Mart use OpenStack as their central platform for the cloud transformations but others are still skeptical of the complexity of the association with the configuring, deployment and the maintenance of the OpenStack based infrastructure. And this is all justified because OpenStack is still hard to deploy. OpenStack is still also limited to companies that do not already use the other big players in the field such as AWS and the Microsoft Azure.

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